Suit: Legal Fees Draining Fund

A suit by Sept. 11 rescue workers claims a $1 billion insurance fund set up to compensate them is being drained by overhead and attorney fees.

The fund has spent $74 million on legal bills and the costs of operation, paying only $45,000 to a worker who was injured by a ladder, according to a summary of the allegations in the Washington Post.

The workers say Congress set up and funded the WTC Captive Insurance Co. to compensate them for health claims. “Not a single rescue worker who became sick has seen a penny of this money,” said lawyer David Worby.

City officials counter that the company was created to defend New York City against claims by ground zero workers, and claimants are paid only after they win a court judgment.